The Directorate of Enforcement (ED) has arrested four individuals in connection with a cyber fraud case involving the laundering of proceeds of crime (PoC) through shell companies. The arrested men—Tamilarasan Kuppan (29), Prakash (26), Aravindan (23), and Ajith (28)—are all residents of Pallipattu.
According to the ED, the accused were involved in the incorporation of shell companies and the opening of bank accounts through which the proceeds from cyber scams were funneled and laundered. The ED revealed that the PoC amounting to Rs2.8 crore was frozen in the bank account of a shell company named M/s Cyberforest Technology Private Limited, which was operated by the four individuals.
The Special Court in Bengaluru granted the ED custody of the accused for four days, as investigations continue. The ED’s action is part of an ongoing probe into a larger cybercrime syndicate, which has been involved in various online scams and fraudulent activities.
This case highlights the growing concern over the use of shell companies and fake bank accounts to launder illicit proceeds generated from cyber scams. The ED’s operation aims to dismantle such networks and trace the movement of illegal funds.